Bitcoin price has recently surged strongly, causing the market to boil again. Observing today's Bitcoin price movement chart is indeed astonishing. Long positions traders must be rejoicing at this moment.

However, what is worth pondering in this round of bullish market is that, although technical indicators like MACD have formed a golden cross signal, the trading volume has not increased correspondingly. Does this phenomenon of rising prices with shrinking volume imply a possible trap for long positions?
Historically, Bitcoin often exhibits increased volatility around the halving cycles: it first shows a significant rise that attracts attention, followed by potential adjustments or even pullbacks. Investors frequently oscillate between chasing high prices and panic selling.
However, the current market environment does have its differences. The expectation of interest rate cuts by the Federal Reserve is heating up, which may bring new liquidity to the digital asset market. Funds in the traditional financial sector are looking for opportunities to enter the crypto market; does this indicate the arrival of a substantial bull market?
The cryptocurrency market is essentially a reflection of human nature. The drastic fluctuations in Bitcoin's price often reveal the greed and fear psychology of market participants.
It is worth noting that when the general public starts discussing fully investing in Bitcoin, it may be a signal to exercise caution.